2020 YEAR IN REVIEW – REAL ESTATE WINNERS AND LOSERS
During the start of the COVID-19 pandemic, the multifamily industry was expected to be challenged by historic job losses around the country. However, the industry has outperformed other asset classes and lived up to its reputation of resiliency. The vast majority of tenants have continued to pay their rents even through the pandemic and apartment demand rebounded strongly in the third quarter.
The industry’s performance could be explained by a few factors. First, people always need a place to live, and many of those who could work remotely, chose to do so from the comfort of their homes. Second, the Coronavirus Aid, Relief, and Economic Security (CARES) Act gave relief aid to affected individuals and families, allowing them to meet financial obligations like rent through stimulus checks, extra unemployment benefits, and the Pay Check Protection program. Finally, the economy recovered enormously in the third quarter as businesses reopened and people returned to work. Read Arbor Crowd’s Article